1. Electronics Recycling Systems and Policies in the United States Jason Linnell Executive Director, NCER

2. Overview NCER BackgroundNCER Background Electronics Recycling Issue OverviewElectronics Recycling Issue Overview State Responses to ChallengeState Responses to Challenge Federal Activity 2006-07Federal Activity 2006-07 Trends/OutlookTrends/Outlook

3. National Center for Electronics Recycling 1)The coordination of initiatives targeting the recycling of used electronics in the United States 1)Participation in pilot projects to advance and encourage electronics recycling 2)The development of programs that reduce the burden of government through private management of electronics recycling systems Non-profit 501c3 Located in Parkersburg, WV area (Davisville) Located in Parkersburg, WV area (Davisville)  Polymer Tech Park Dedicated to the development and enhancement of a national infrastructure for the recycling of used electronics in the U.S. through: Mission: Dedicated to the development and enhancement of a national infrastructure for the recycling of used electronics in the U.S. through:

4. Growing Pile Technology Changes  Internet access, computing power in last 10 years  Analog to Digital TV, rollout of HDTV + Increasing Sales + Undesirable Materials (lead, mercury, cadmium) + Costs collect, transport, and recycle = Enormous Challenge How much is out there - ????

5. State-Level Policy Activities

6. How are states handling the challenge? Four programs with mandatory financing  CA, ME, MD, and WA  50 million US residents or 16% of US population Others with recent study commissions  MO, IL, RI, LA Upcoming or recent disposal bans  MN, NH, RI, AR (others MA, CA) Coordinated regional policy strategy  Northeast States: CT, DE, ME, MA, NH, NJ, NY, PA, RI, VT  Midwest States: MN, MI, IL, WI, IA

7. California Law passed in 2003 Point of sale fee on for any purchase of certain products over 4 inches diagonal screen size  $6, $8, or $10 depending on screen size Effective January 1, 2005 on:  CRT devices (TVs & monitors)  LCD devices (laptops and monitors)  LCD and Plasma TVs added July 1, 2005  Portable DVD players added Jan 1 2007  But NOT desktop computers, other audio/video devices

8. CA Law Fee Implementation 20,000 retailers; 28,500 locations registered to collect fee 90% of fees from 300 large retailers filing monthly; 8-9,000 active quarterly filers 2005: Collected $73 million in fees 2006: Through Q3, collected $54.6 million in fees  Projected 2006 total fees: $72-74 million Total gov’t admin costs through 6/30/06: $11.6 million  10.9% of fees collected

9. CA Law Recycling Implementation Collected fees into state fund, administered by CIWMB Disbursements made to qualified collectors and recyclers at $0.48/lb 529 Approved Collectors; 55 Approved Recyclers In 2005: Paid out $31 million for 65 m lbs  1.79 lbs/capita Preliminary 2006: $60 million paid out for 124 million lbs  3.4 lbs/capita (191% growth from 1 st year)

10. Maine Law Passed in 2004: covers TVs and computer monitors (includes laptops) from Maine households Municipalities collect from household, send/contract to state-approved consolidators (facility or pickup)  Collection from household not funded by system Consolidators count brands, follow ESM guidelines, bill manufacturers for actual count of claimed brands + orphan share Manufacturers submit compliance plans, file reports, pay invoices from all (6) consolidators

11. Maine Law Implementation Began 1/18/06 6 consolidators approved for 2007, 3 up and running 3 govt staff managing program, plus staff at consolidator – tracking brands, invoicing OEMs 1 st 5 months of program estimates: –1,291,202 lbs collected, annualized = 2.42 lbs/capita 2006 current estimate: –2.85 lbs/capita

12. Manufacturer TV Pro Rata % 2007 TV Pro Rata % 2006 Monitor Pro Rata % 2007 Monitor Pro Rata % 2006 % Variance Apple 7%15%-8% Funai 11%6% 5% Gateway, Inc. 14%9%5% GE (not Thomson)18%0% 18% Hewlett-Packard Company 14%17%-3% NEC Solutions (America), Inc. 3%7%-4% Thomson4%22% -18% Toshiba America Consumer Products, Inc. 0%4%-4% ViewSonic Corporation World Headquarters 3%0%3% Maine Orphan Pro-Rata Share Changes

13. Maryland Computer Recycling Law Passed in 2005 Creates statewide computer recycling pilot program for 5 years  Effective January 1, 2006, Ends 12/31/10 Registration and fee required for manufacturers of more than 1,000 computers per year  1,000 can be sold anywhere, not just in MD Computers defined as: “desktop personal computer or laptop computer, including the computer monitor”

14. Maryland Recycling Law cont’d Initial Registration fee $5000, then:  $5,000 if manufacturer does NOT implement a computer take-back program  $500 if manufacturer DOES implement a program Registration money into state recycling trust fund  Used to provide collection/recycling grants to local governments First year for education campaign/survey, not recycling grants Registered Manufacturers as of 2/2/07:  50 Companies for 2006  25 Companies for 2007 (January 1 deadline!)

15. Washington Law Newest Law – signed March 2006  4 th major state electronics recycling program  Different than other 3 in significant ways Producer Responsibility with default  Manufacturer responsible for “equivalent share” either on own or pay into State quasi-govt organization  No collection goal, but must meet your % at year’s end or pay penalty (refund if collecting more than %)  Covers CA/ME products + Desktop Computers  Ban on exports to developing countries according to Basel Convention [VETOED]  Programs must be effective Jan 2009

16. Washington Law Implementation Manufacturer Administration Fee  Registration and Fee required 1/5/07 for sale or penalty to manuf & retailer  Based on market share: $23 - $48,900  So far, 113 manufacturers with 168 total brands Establishment of WMMFA Board  Board Members for 2007: Apple, Deer Park Computer Sales and Service, Dell, HP, Lenovo, No Nonsense Computers, Philips, Samsung, Sony, Wal-Mart Return Share Sampling  NCER Project for Dept of Ecology, with statisticians  Sampling results used for “preliminary return shares” in June, final in August Standard and Independent Plans due Feb 2008

17. Disposal Bans In effect  California: CRTs and all consumer electronic devices  Massachusetts: CRTs  Maine: CRTs  Minnesota: CRTs Upcoming  Rhode Island: CRTs  New Hampshire (video display devices)  Arkansas: authority to DEQ in 2008

18. Patchwork Study NCER initiative under National Electronics Recycling Infrastructure Clearinghouse  www.ecyclingresource.org www.ecyclingresource.org ID and quantify “dead weight” costs of differing state programs  Sought input from all stakeholders  Assumes 2 additional states by 2012 Findings  Recurring costs per year: $25 million  One time costs per new state: $3 million A Study of the State-by-State E-Waste Patchwork An analysis of its economic and other effects on industry, government and consumers October 2006

19. Recent Proposed State Legislation

20. Legislation in 2006 Over 25 states introduced Types of Bills  Advanced recovery fees – at POS and Manufacturer/first point of possession  Producer responsibility, many variations  Studies, commissions & task forces  Landfill &/or incineration bans  California amendments (product scope, material restrictions)/Maine amendments

21. Legislation in 2007 Currently 22 states with active bills –2 states already rejected bills (MS, VA) Types of Bills  Advanced recovery fees – SC, NJ  Producer responsibility, NERC/Midwest Models  CT, HI, (MA),NE, NJ, NY, PA, UT, VT  OR, MN  SC, TN (no TVs program)  Studies, commissions & task forces – KY, MI  Landfill &/or incineration bans  Existing law changes – CA, MD  Tax credits, other – MT, IN, NM

22. Federal Activity

23. Congress 2005: E-Waste Working Group formed – four House Representatives  2 Hearings in House, one in Senate Previous Bills in House and Senate, not moving  1 ARF, two based on tax credits for manufacturers and/or consumers Meetings held in late 2006  Some working on legislation for this session

24. Other Federal Activity EPA Baseline Data Report forthcoming Department of Commerce Report – released July 2006 Government Accountability Office 2005 Report

25. Conclusions/ Outlook More to learn in 2007  CA implementation compared to MD/ME  Movement towards WA implementation More state programs?  MA, MN, WI, MI, OR, IL  Pressure on RI, NH from 2006 bills  Will Regional models ensure harmonization? Will Congress move on legislation?  Will increasing state differences lead to more national action? Look for update of Patchwork Study

26. Thank You! Jason Linnell, NCER Phone: (304) 699-1008 jlinnell@electronicsrecycling.org Visit us on the web: www.ncerwv.org